Market Research

What is the definition of market research?

The way in which information and data is gathered about consumers, competitors and market trends.

What is the definition of Focus Groups?

Where consumers are brought together by businesses to discuss their reactions to products before they are launched.

What is the definition for Consumer Panels?

Recruited by research companies to represent the views of consumers in a particular sector.

What is the definition of primary research?

(field research) ➔ collecting primary data ➔ collecting information that does not already exist ➔ it is collected for a specific purpose.

Name 3 examples of primary research?

Questionnaires, focus groups, personal interviews

Name 2 Advantages of primary research?

1. Up-to-date ➔ gathered first-hand ➔ collected by the researcher (yourself)

2. Specific to a business’ own needs / accurate

Name 2 disadvantages of primary research?

1. Can be very expensive to collect ➔ could the money have been better utilised using secondary research?

2. Can be very time consuming to collect so that by the time it has been collected and analysed the market may have changed

What is the definition of secondary research?

(desk research) ➔ involves using information which already exists ➔ this can be collected internally or externally.

Name 3 examples of secondary research?

1. Newspapers/magazines

2. Trade journals

3. Internal data e.g. company reports/ business records/financial data

Name 2 advantages of secondary research?

1. It is inexpensive to collect and quick to obtain

2. Enables cost-effective analysis of several data sources

Name 2 disadvantages of secondary research?

1. Often out of date

2. Might not be available

What is the definition of Qualitative Data?

Involves collection of data about attitudes, beliefs and intentions.

What is the definition of Quantitative data?

Involves the collection of data that can be measured.